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Lauded as one of the top business process outsourcing (BPO) and call center capitals of the world, the Philippines is an outsourcing paradise for many businesses globally— especially developed countries.
Its long-standing reputation as one of the best countries for outsourcing shows that the Philippines has a lot to offer to companies looking to expand their operations and scale their growth.
Need more convincing? We listed 10 reasons to outsource to the Philippines, from higher profitability to world-class data security.
Here are the top 10 reasons why you should pick the Philippines as your offshore outsourcing destination for your next outsourcing initiative.
Lower costs mean higher profit margins. Outsourcing to developing countries like the Philippines means lower labor costs, lower overhead, and lower taxes. All of these things translate to you being able to get the most value for your money, so you can run your business with higher profit margins while saving more on labor and overhead.
With Filipinos earning an average of $325.15 USD a month, scaling your business becomes a more cost-efficient endeavor, allowing you to double or downsize your Filipino workforce as needed without exceeding your budget or overspending on local hires.
The Philippines, with its 7,641 islands, is home to a large talent pool of skilled professionals who are passionate and highly motivated to excel in multiple fields. Because it has 13,128,017 college graduates as per the Philippine Statistics Authority’s (PSA) data, there is no shortage of talent and expertise in the Philippines.
Hence, the Filipino workforce is a great resource to tap into when you need exceptional talent for your company.
Apart from the Philippines’ 90% basic literacy rate, it is also recognized as one of the countries with the most number of English speakers at 111,046,913. In the ASEAN (Association of Southeast Asian Nations) region, the Philippines is one of the top countries with the highest English proficiency score of 570, second only to Singapore.
Thanks to the Philippines’ highly literate, English-proficient population, you won’t have to worry about language barriers in business communication — thus guaranteeing seamless collaboration and workflow processes.
The Philippines has a long colonial history, shaping its norms and values into a melting pot of Asian and Western cultures. Due to the country’s past, Filipinos can easily adapt to any culture and work with foreign businesses — especially those from the US — with minimal cultural or communication barriers.
Filipinos are detail-oriented, hardworking, and reliable workers who are dedicated to helping companies reach their goals. They are also hospitable, friendly, and humble, making them some of the best people to work with.
This combination of having an excellent work ethic as well as a great disposition makes Filipino professionals dependable and trustworthy offshore employees for foreign businesses.
The hospitality of Filipinos extends to business relationships, too. In many outsourcing companies, Filipino employees prioritize customer satisfaction, making sure their clients consistently receive the highest quality of service. This leads to strong partnerships that last for decades.
The Philippine government recognizes the major economic role of the BPO industry, which provides jobs to 1.57 million people in the country. The Philippines’ outsourcing sector has multiple measures in place, such as tax adjustments and infrastructure development, to fully support its growth and development.
The local outsourcing industry also works closely with different organizations and other outsourcing companies to provide BPO courses to Filipinos, hence preparing a specialized workforce primed for the Philippine BPO industry.
BPO companies in the Philippines are open 24/7 and on local holidays. This means you have Filipino employees working morning, afternoon, and night shifts to provide round-the-clock coverage for clients from different countries — particularly the US, where time zones vary between 12 to 18 hours.
From financial to healthcare data, Philippine outsourcing companies have processed and handled them all with care. The secret? Strict enforcement of the Data Privacy Act and robust, enterprise-grade IT infrastructure.
Not only that, but these companies also make their employees sign non-disclosure agreements (NDA) to ensure confidentiality and protection from legal liabilities. Hence, by outsourcing to the Philippines, you get the confidence and peace of mind that your data is protected from breaches and cyberattacks.
To successfully outsource work to the Philippines, be sure to follow our expert-approved tips below:
Outsourcing is not something you jump right into immediately. Before outsourcing operations to the Philippines, sit down with your team and assess the organization’s weaknesses and inefficiencies.
Is it the lack of specialized expertise or advanced technologies? Are your team members spending their time working on non-core tasks?
Whatever the reason, understanding your whys helps you outsource with purpose.
Evaluate potential outsourcing partners not just on cost, but also on their reputation, expertise, services, and core values. By vetting service providers, you can work with an outsourcing partner that aligns with your goals, values, and standards — thus reducing the likelihood of conflicts of interest and unmet expectations.
Many of the best BPO companies are happy to give a trial period. During this period, you can assess your offshore team’s performance and identify weaknesses to help you weigh in on whether the outsourcing provider is worth committing to for the long haul.
By researching Filipino history, norms, and values, you can smooth out differences in hierarchy, levels of formality, and communication styles. This builds mutual respect between teams, thus leading to a partnership grounded in cultural sensitivity.
The Philippines truly brings a lot of value to the table. Outsourcing to the Philippines isn’t a gamble, and it could very well be the next best step for your business.
KDCI Outsourcing is an outsourcing company providing e-commerce, creative production, web development, and back-office support. For more than 15 years, we have been helping clients achieve business growth and success with our custom-made offshore teams and top-notch outsourcing solutions.
Looking for a company that provides business outsourcing solutions that truly work? KDCI is the outsourcing provider for you!
Let’s help your business meet its goals. Contact us today to get started!
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Companies like Amazon, Google, and Meta are leveraging offshore outsourcing for their goals — and this isn’t surprising. With the rapid changes in many industries today, offshore outsourcing has become a 21st-century ticket for businesses to achieve growth without all the financial hurdles that come with hiring locally.
If you’re looking to level up your business, this guide is a complete crash course on offshore outsourcing.
Offshore outsourcing is an outsourcing model that involves the delegation and relocation of entire processes and operations to a service provider in a distant country.
For example, a US-based company may offshore its information technology (IT) or finance operations to a Philippine business process outsourcing (BPO) firm and build a dedicated offshore team to slash overhead while gaining access to skilled labor.
You’re probably scratching your head wondering if offshoring vs. outsourcing share the same meaning
For starters, outsourcing is a process of delegating non-core functions to a local or overseas vendor, so your company can allocate more time and resources to core functions. While there’s room for collaboration, outsourcing firms are in charge of managing your outsourced functions and teams.
On the other hand, offshoring is a type of outsourcing in which companies relocate functions to a faraway country. With this model, your offshore outsourcing team is an extension of your internal team. Rather than a third-party provider handling recruitment, training, onboarding, and team management, your company will take care of all these processes.
Nearshoring, onshoring, and hybrid outsourcing are also popular outsourcing models. However, not all models are created equal. Take a look at the differences between nearshore vs offshore outsourcing vs onshoring vs hybrid outsourcing below:
One example is Art Brand Studios. This California-based brand offshored design work to KDCI Outsourcing — a Philippine-based BPO company — to cut costs, improve scalability, and minimize production times. While the Philippines is 15 hours ahead of California, US, both parties worked together in real time.
Both countries have only a two-hour time difference, which hastened the exporting of manufactured appliances to Canadian and US markets.
Both parties also share the same culture, so misunderstandings arising from cultural differences are zero to none. Since outsourced teams are based locally, companies invest more in overhead and labor.
American tech firm BambooHR onshored functions, such as customer support and software development, to promote faster response times and higher service quality. By onshoring, BambooHR has not only kept up with evolving HR industry needs, but also improved its company culture.
For instance, tech giant Microsoft has an in-house team dedicated solely to complex tasks, such as innovation and software architecture. This leaves customer service and other non-core functions to offshore outsourced teams. Essentially, hybrid outsourcing focuses on the strengths of all outsourcing models, creating a harmonious balance that fosters stronger team camaraderie.
Offshore outsourcing delivers a profound impact on businesses. Here are three benefits of this model:
Between nearshoring and onshoring, offshore outsourcing is the most cost-effective model of the two. The average cost of hiring a US employee is $4,683 USD, with training and onboarding costing $1,207 USD to $1,512 USD per staff member. If we factor in salaries for specific roles and seniority levels, hiring costs may go higher (or lower) than the average.
Let’s say you want to increase your local graphic design headcount. Take a look at the costs of an American graphic designer:
From the above data, hiring local graphic designers is a less financially viable option.By offshore outsourcing graphic design, you can build an offshore team of graphic designers at cost-effective rates.
Here’s a quick breakdown of the costs of hiring a Filipino graphic designer:
While some cities in the Philippines pay more, hiring Filipino graphic designers — regardless of seniority level — still costs a fraction of the salaries of local designers. Training is also cheaper, amounting to only $61.51 per Filipino staff member.
With offshore outsourcing granting significant cost savings, you can maximize the ROI of outsourcing.
Thanks to globalization, companies are no longer restricted to a single geographical location when hiring the ideal candidate. Offshore outsourcing provides an alternative (and more diverse) hiring pool where you can access talented, highly specialized professionals from other countries at a lower cost than local hires.
Most of the time, an offshore team of professionals is equipped with all the skills and knowledge you won’t find in-house — thus minimizing resources for employee training and upskilling.
Interestingly, outsourcing countries have their field of expertise. For example, outsourcing customer services in the Philippines is a great offshore partner for companies. This is because the country is a hotbed of college-educated, English-speaking agents who have early exposure to Western culture.
Likewise, India is ideal for offshore software development. Aside from its large workforce of highly educated STEM professionals, India is brimming with cities, such as Bangalore, Hyderabad, that function as tech and IT hubs. This makes India an attractive offshore outsourcing partner not just for cost savings, but also for technological innovation.
The list of the best countries for outsourcing is continuously expanding and by working with an offshore team, your business can stay ahead of industry trends and innovate as needed without worrying about costs.
Operational efficiency is key to growth and employee satisfaction. Since non-core functions are relocated to an offshore outsourcing partner, your internal teams can focus on their core competencies and high-value tasks — enhancing employee productivity and satisfaction while driving business growth.
With the flexibility of being able to scale your business, you can ramp up headcount and operations according to demand with minimal financial repercussions. Not only does this drive operational efficiency during high and low seasons, but it also helps your business keep up or outperform competitors in your industry.
On the other hand, offshore outsourcing comes with risks and drawbacks. Before outsourcing, here are three things to keep in mind:
Data is everywhere. With 600 million cyberattacks occurring daily, data privacy is a non-negotiable for businesses operating in finance, healthcare, and other data-rich industries. When offshore outsourcing business operations, you entrust your offshore outsourcing partner to process and manage customer data as well as comply with the General Data Protection Regulation (GDPR) and other compliance standards.
While the risk of a cyberattack is always imminent, partnering with a reputable outsourcing company with a robust data encryption infrastructure, a deep understanding of data compliance laws, and round-the-clock IT staff can minimize this risk. Reviewing your outsourcing country’s local data privacy laws is helpful, too.
Offshore outsourcing is like a mini cultural exchange program; both the client and offshore provider learn each other’s cultures and work ethics to smooth out differences and ensure tighter collaboration. However, there may be instances of miscommunication and misunderstandings due to limited English proficiency and thicker accents.
In this case, it’s recommended to outsource to the Philippines or any country with excellent written English and neutral accents.
Crises can strike at any time, and these can potentially disrupt operations in either your home country or your offshore team’s. While most offshore outsourcing service providers have business continuity plans, creating your own contingency plan can help you anticipate and prepare for any disruptions.
Most importantly, don’t limit offshore outsourcing initiatives to just one country. If you’re currently offshoring to the Philippines, consider outsourcing to Malaysia or India for uninterrupted operations.
After weighing the pros and cons, the next step is to determine whether your business is ready for offshore outsourcing. Here are four signs to look out for:
Training employees for specialized roles may be a good idea — at least, on paper. However, training costs money, and newly trained employees need ample time to prepare for their role. By offshore outsourcing, you can work with a foreign employee who’s already trained and specialized in that role.
Managing an internal team is costly. If equipment, subscription, and labor costs are adding up quickly, offshore outsourcing can mitigate these expenses while maintaining high-quality service delivery.
Excessive workload creates a domino effect of burnout, lackluster performance, poor service delivery, and increased turnover. If your team members are spending most of their working hours on non-core tasks, it’s a sign to outsource to an offshore outsourcing company.
By offshore outsourcing, your internal team has more time for high-impact or revenue-generating tasks that further your business goals while also reigniting your employees’ sense of purpose — driving growth and retention.
Offshore outsourcing is a strategy. You’re not just reaping the financial and operational benefits of offshore staffing, but you’re also venturing into a new market to expand your customer base, explore business opportunities, and scale your market share.
If most of the signs apply to your business, you can now begin offshore outsourcing. Here’s how to do it:
Do an inventory of your daily business operations and identify which ones cause the most inefficiencies and consume the most of your team’s time. This helps your potential offshore outsourcing service provider develop a tailored solution unique to your business.
Although googling for the best BPO companies is a good start, these platforms can help you find and choose an outsourcing company:
When evaluating an outsourcing partner, check out its:
Most importantly, don’t forget to weigh the pros and cons of outsourcing to the Philippines (or your preferred outsourcing destination). This helps you make an informed decision and prepare for potential risks down the line.
Lay out your expectations and service-level agreements (SLA), and always read the fine print of the provider’s contract. Some service providers have a lock-in contract. By entering into a lock-in contract, you can’t prematurely terminate your partnership with the provider.
If the offshore outsourcing company no longer meets expectations and aligns with your goals, offshore outsourcing may become a liability to you. Hence, you’re stuck in an unfruitful partnership until the contract ends.
A trial period lets you vet your offshore team’s performance in real time. It is also great for identifying quality issues in service delivery before entering into a long-term partnership with the provider.
At KDCI Outsourcing, we offer next-generation offshore outsourcing services and help forward-thinking companies build their offshore team from scratch. We have skilled professionals who excel not just in marketing, web design, or any offshore outsourcing service, but also in the ethical use of AI technologies in their deliverables.
Growth and success don’t come knocking at your door. Schedule a meeting with KDCI ASAP, and let’s kick off your offshore outsourcing journey.
With the multitude of benefits of IT outsourcing, it’s it has become increasingly difficult to navigate the Philippine IT outsourcing sphere. Below is a guide to help you choose which IT outsourcing firms to work with to ensure seamless outsourcing and successful digital transformation.
In today’s past-faced economy, businesses of all sizes in the US are outsourcing various services and business functions to stay competitive. Among these services is business information technology (IT). In fact, a remarkable 92% of G2000 companies use IT outsourcing (ITO) — an industry valued at around $600 billion, and countries like the Philippines are amongst the top destinations.
Not only does the Philippines house over 1.57 million professionals, it also has tax incentives and infrastructure and hundreds of IT outsourcing companies, making it overwhelming to choose who to partner with. From outsourcing IT experts to build custom software, getting offshore support for managing complex IT infrastructure, or delegating security to a 24/7 dedicated IT team, businesses in the United States (and all over the world) have been tapping into the specialized expertise of Philippine IT outsourcing companies.
Before we delve into:
it’s worth understanding why global brands — from startups to Fortune 500 corporations choose to outsource their IT to the Philippines.
There are a lot of reasons why Philippine offshore IT outsourcing is among the top choices all over the world, but we’ll focus on three key ones in this article:
Every BPO company that you can find in the Philippines would say that they have globally-recognized talent with strong English proficiency and technical certifications. This is true. With thousands of IT and engineering experts who graduate every year, you can find IT professionals who will match the unique needs of your business across various IT outsourcing companies in the Philippines.
Known for their adaptability, problem-solving skills, and the strong ability to integrate with existing teams, outsourced IT professionals from the Philippines are ideal for businesses who are looking to scale, without excessive overhead costs.
It’s one thing to find experts who have the technical expertise that match the job description, but it’s another to hire one who also contributes to your company’s culture of growth and collaboration.
Due to long-term ties and connections with businesses in the United States, skilled professionals, especially those who are in the BPO sector in the Philippines share similar work ethics, communication styles, and business etiquettes with teams in the US. This way, you can boost operational efficiency without sacrificing the strong company culture that you and your team have worked so hard to build.
Lastly, there’s the certainty of strong systems in place. The strong reputation of the Philippine BPO industry when it comes to IT also stems from all the infrastructure and tech hubs built all over the country.
Manila, Makati City, Cebu City, Davao City, and Clark all host modern office spaces equipped with high-speed internet activity that will empower your offshore IT team to business continuity round the clock.
If you’re considering IT outsourcing, the Philippines offers a compelling combination of world-class tech talent, cost-effective staffing solutions, and strong government support. However, with so many providers across the country — from Manila to Clark to Cebu City —we know that choosing an IT partner is no easy task.
We get it. We get you.
Looking for an IT outsourcing company to partner with can be incredibly difficult, especially with so many IT outsourcing companies all over the country . To help out, below is a quick list of the things you should consider when choosing your IT outsourcing partner.
Before outsourcing IT services, make sure that the company you’re considering is proficient in the specific IT services you need. Look at their case studies for successful projects in your industry or request examples to demonstrate their technical capabilities.
Ensure the company has strong data protection measures and follows industry standards. Check for compliance with relevant regulations such as GDPR, HIPAA, or ISO 27001. Ask about their security protocols, encryption practices, and how they handle data breaches.
Assess the company's communication practices, operations, and support infrastructure. Verify the availability of 24/7 IT support, their response times, and the quality of their helpdesk services. Ensure there are clear communication channels and escalation procedures for critical issues.
Determine if the company can scale its services to meet your growing IT needs. Look for flexibility in their service offerings, such as the ability to customize outsourced IT solutions, accommodate increased workloads, or integrate new technologies as your business evolves.
Research the company's reputation within the IT outsourcing industry. Look for reviews and ratings on independent platforms, and ask for references from current or past clients. Inquire about their reliability, quality of service, and overall client satisfaction.
Because IT is an ever-evolving industry, with all the ongoing developments (and, consequently, threats) in tech and cybersecurity, it is important to have an IT team that can keep up with all of it. So, check if they are leveraging artificial intelligence (AI), cloud computing, and cybersecurity frameworks that will help future-proof your business.
With several software development and IT job roles you can outsource to the Philippines, you can fully take advantage of offshoring and delegate key IT functions that will help you cut on operational expenses.
When choosing an outsourcing company, it’s also important to identify the different types of IT offshore staffing services that are available to you. Let’s go through some of the IT services you can outsource — and worry not, all of these are offered by the outsourcing companies that we will enumerate later.
You can offshore services related to technical assistance for hardware, software, and network issues. This can range from basic troubleshooting to more complex problem resolution to ensure smooth day-to-day operations.
Protect your systems and data from online threats at lower costs by outsourcing IT services. An offshore IT team can monitor suspicious activity, secure sensitive information, and address vulnerabilities before they can cost your business.
Moving data and applications to internet-based platforms is yet another IT function that you can outsource to IT experts from the Philippines. This way, your business can benefit from greater flexibility, remote access, and scalability without investing heavily in on-site infrastructure.
When you need a dedicated IT team to create programs or apps designed specifically for your business, be that a website or an interactive mobile app, you may opt for an outsourcing solution for your software development needs.
Yes, AI. Adopting AI solutions can further automate processes and provide predictive insights for your business. Fortunately, there are several Artificial Intelligence companies in the Philippines that you can choose from so you can build an IT team that will collect, analyze, and interpret business data to identify patterns and guide your decision-making.
With an idea of how to select your outsourcing provider as well as the IT services you can outsource from them, here’s a pool of the top IT outsourcing companies in the Philippines to choose from based on your requirements, geographic location, project scope, company size, and more!
KDCI Outsourcing is a Philippine-based company in Ortigas CBD, that offers custom outsourcing services to global brands for the past 13 years. They offer IT and software development services, with a focus on finding tech professionals that fit your requirements and culture for seamless integration, fast results, and quality assurance. Given the company’s flexible engagement models and extensive background of working US-based SMBs, we think US brands looking to scale their operations cost-effectively will have a great experience working with them.
With headquarters in Makati City, Philippines, and management in the Netherlands, Global BrainForce is a 15 year old IT outsourcing agency that specializes in custom software development, dedicated IT teams, and consultancy. Due to their cross-cultural expertise and European management standards, they are an ideal outsourcing partner for European SMEs and startups needing a culturally aligned IT partner who is also familiar with regulations like GDPR.
Operating out of Cebu City, Philippines, and managed both locally and from Italy, Altamira is a technology solutions company that was established in 2016. They are known for bespoke software development, IT staff augmentation, and business process outsourcing, leveraging agile methodologies and European quality standards. Mid-sized European enterprises will find their scalable solutions particularly beneficial.
Hireplicity, Inc. is a Cebu, Philippines based staff augmentation company established in 2008. Their outsourced IT services include staffing, custom software development, and support, notable for their precise matching of skilled Filipino talent to client needs. This firm is best suited for US companies seeking highly customized and cost-effective IT staffing solutions.
Based in Makati City, Philippines, Transnational E-Business Solutions, Inc. is a US-owned ICT (Information and Communications Technology) solutions provider established in 2002. Their comprehensive IT services range from enterprise software development to cybersecurity, excelling in large-scale, complex projects. Multinational corporations in need of robust IT solutions will find their services particularly valuable.
ClinkIT Solutions is a locally-managed IT services company based in Quezon City, Philippines, that has been delivering innovative IT solutions since 2014. They specialize in cloud computing, data analytics, and AI-driven services, and are known for leveraging cutting-edge technology. Given their expertise in advanced tech, they’re recommended for tech-driven businesses aiming for digital transformation through advanced IT solutions.
Innerworks International, headquartered in Makati City, Philippines, is a growing IT outsourcing firm with about 100 employees since 2010. They offer IT consulting, managed services, and software development, with a strong focus on cloud solutions and digital innovation. Startups and SMEs looking for agile IT support will find them an excellent fit.
i-Cube Digital Solutions is a Philippine-based IT solutions company that is managed locally and in the US. Since 2012, they’ve provided digital transformation services, IT consulting, and custom software development, emphasizing the integration of emerging technologies. Their wide array of tech services make them an ideal partner for companies aiming for comprehensive digital transformation.
Atticus Solutions, a Manila-based firm established in 2011, is a company that provides a range of outsourced IT services, including software development, IT support, and virtual staffing, distinguished by their personalized approach and strong client relationships. Small to mid-sized businesses seeking dedicated and tailored IT outsourcing solutions will find them ideal.
Based in Makati, Philippines, Infinit-O Global has been a key player in the IT outsourcing industry since its founding in 2005, with management experience rooted deeply in the multinational outsourcing sector. The company excels in delivering IT services such as cybersecurity, cloud computing, and data analytics, setting itself apart with a mission to help SMEs harness the power of these technologies to drive growth. Infinit-O is particularly recommended for small to medium-sized businesses globally seeking to enhance their IT capabilities through secure and innovative solutions.
These 10 BPO companies strengthen the Philippines' status as a reliable, capable, and dynamic outsourcing destination. So, whether you're looking to secure your IT systems, expand your offering through software development, or boost your operations with offshore IT staff, there is an outsourcing service that you can utilize.
Given the specialized expertise and robust infrastructure required in IT outsourcing services and outsourced IT support services, it’s crucial to partner with IT outsourcing companies with the capabilities to meet your digital requirements.
If you’re looking to hire dedicated offshore IT staff in the Philippines to support your company’s tech-driven initiatives or digital transformation, KDCI Outsourcing is the right partner for you. With over a decade of experience building teams that will integrate well with client organizations, we can ensure a great fit and seamless integration of your offshore staff with your in-house team, providing you with the best chance of digital success.
Learn more about IT outsourcing to the Philippines. Contact us today!
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Tax accounting, among other finance functions, has become one of the most outsourced services in the US over the past couple of years. This growth is predicted to increase even more, with a projected expansion to USD76.37 billion by 2033, from USD46.17 billion in 2024.
As the global business landscape becomes more and more interconnected, leveraging overseas talent has gone past the point of experiments and has become a proven growth strategy for US companies of all sizes. From keeping up with changing US tax laws and handling complex compliance requirements to managing large-scale bookkeeping for global corporations, Philippine Tax Accounting Companies have emerged (and are continuously thriving) as a trusted choice for US companies looking to outsource tax accounting functions.
In this article, we discuss the top Philippine Tax Accounting companies worth considering if you’re looking to outsource your business’ accounting function.
Read on for:
While offshoring companies in the Philippines are typically known to offer strong capabilities, it’s important to choose the one that best aligns with your business needs — because your next accountant is already out there. It’s now just a matter of knowing where and how to find them.
Several notable US companies have been outsourcing professionals from the Philippines and tax accounting is among the industries that benefit from outsourcing and offshoring solutions.
With a pool of accountants trained in both Philippine financial reporting standards and international accounting standards, the country boasts high quality offshore tax accountants that US companies can outsource at competitive rates. Paired with exceptional communication skills and work cultures that align with American business values, it’s no surprise that several global companies are choosing to build dedicated tax accounting teams in the Philippines.
Beyond significant cost-savings, working with offshore tax accountants in the Philippines also gives your business scalability, compliance, and expertise.
Many are the benefits of working with a dedicated team of tax accountants — let’s discuss some of them here:
The Philippines produces thousands and thousands of accounting graduates annually, who are then subjected to rigorous licensure examinations. Most professionals that you can hire from Philippine accounting companies already have prior experience in multinational firms and accounting companies, giving them extensive knowledge of global tax law and compliance standards.
Among the reservations about cost-effective hiring is the risk of compromising on the quality of work. However, while the costs of hiring a full-time accountant from the Philippines may be several times lower than hiring an accountant in the US, your business can still benefit from high-quality results. This way, you can allocate resources more strategically while still getting all your business’ tax accounting service needs covered.
When you outsource a tax accountant from the Philippines, you can rest assured that you are getting a professional who has expertise in US tax laws, making them well-equipped to manage corporate tax filings, state tax compliance, and other regulatory requirements.
Because of the time difference from the US, Philippine teams have a unique advantage in that they can work overnight US time, making faster turnaround for urgent filings and compliance updates possible.
Top Philippine tax accounting companies also adopt cloud-based platforms like Quickbooks and Xero, built with secure file-sharing systems and compliance with data privacy standards — but more importantly, utilized by trained accountants who are ready to support your business.
Not all outsourced accounting companies are made equal, that’s a fact S, how would you evaluate Philippine tax accounting companies? Here’s a quick rundown of the criteria for ideal accounting partners:
Choose a company with established experience with US-based clients in your industry. An ideal partner for outsourcing accountants should have case studies or testimonials of work done for US companies, ideally within your niche. This ensures that they understand the nuances of your business.
Find providers whose accountants are familiar with US tax regulations and global accounting principles. Firms with Certified Public Accountants (CPAs) who are trained in both Philippine and tax regulations will give your company a competitive edge and will ensure accurate financial records and alignment with compliance requirements.
Look for an accounting partner that utilizes the latest accounting software and automation tools. Effective offshore accounting teams leverage modern accounting platforms like Zoho, Quickbooks, and Zoho. Tax accounting companies who have adopted automation tools for reconciliation, invoice processing, and payroll can also significantly improve turnaround times.
Select a company that employs strict protocols for handling financial data. Financial data is highly sensitive. As such, your outsourced team must have clear security protocols and encryption standards to safeguard valuable company data and financial records.
Lastly, it’s important to have an accounting partner that is responsive to your needs as a business. The best partners are those that go beyond the execution of tasks to empower you with advice on improving processes, reducing costs, and ensuring long-term compliance.
At the end of the day, the offshore tax accounting team from the Philippines becomes an extension for your internal finance department, so it’s only fair that you find the best people who can augment and support your team.
Using the above criteria, we have here a list of 7 reputable outsourced accounting companies in the Philippines where you can potentially find your next hire.
KDCI Outsourcing allows you to outsource finance and accounting services to the Philippines through flexible and customized engagement models. With a strong mission to empower teams with the best people, KDCI Outsourcing gives you access to a large pool of talent who are equipped with expertise in financial data management, cash flow monitoring, and advanced accounting software proficiency. KDCI’s handpicked staff effortlessly blends into business operations, as they are fully-trained in specific financial processes and financial regulations to ensure a seamless transition and immediate efficiency. Whether you’re looking for General Ledger Accountants, Payroll Specialists, Tax Accountants, or other finance staff with specialized skills, KDCI Outsourcing can find the right person who will complete your team.
Connext Global Solutions specializes in supporting US companies with customized offshore support teams that streamline costs and boost team productivity. With a goal of extending local business operations with access to the “top 1% of global talent,” Connext is also one of the go-to tax accounting companies in the Philippines for those looking to outsource their finance and accounting functions.
Outsourced connects US companies with premium remote accounting staff in the Philippines through their offshore and outsourcing solutions. With an AI-enhanced recruitment process and dedicated tax accounting teams, Outsourced empowers businesses of all shapes and sizes in building custom-fit offshore teams who can operate during the working hours you set and effectively act as an extension of your team.
TOA Global provides thousands of leading teams in Australia, New Zealand, and the US with job-ready outsourced accountants and bookkeepers. As a company that provides holistic and outsourcing solutions for accounting and bookkeeping firms, TOA Global boasts exceptional Philippine-based finance specialists who are ready to fill roles across local time zones.
Cloudstaff’s focus is building global remote workforces designed to supercharge the growth of businesses worldwide. Among their wide range of outsourcing solutions include models for hiring offshore tax accountants in the Philippines, backed by advanced technology and a supportive work culture that nurtures your outsourced team, too.
D&V Philippines offers outsourced finance and outsourced accounting services designed to support CFOs and professional services firms. With top-notch accounting, audit, and finance services, D&V is committed to bringing specialized and globally competitive solutions that meet the needs of foreign companies across Australia, Canada, Europe, and the US.
TMF Group provides comprehensive tax accounting services that meet both local and international and compliance standards. With a broad range of services including transactional accountancy support, local statutory accounting, and tax consultancy, TMF offers solutions that can be tailored to your organization’s unique requirements.
There are more tax accounting companies in the Philippines that US companies can outsource, but these leading providers are the ones that are among the top choices for building specialized offshore accounting teams worldwide.
Outsourcing to Philippine companies isn’t limited to annual tax filing or tax accounting. As a matter of fact, most providers (especially the ones mentioned above) offer a broad range of offshored accounting and finance services that can be tailored to your business’ day-to-day operational needs.
Now that we have covered the go-to companies for outsourcing accounting functions, let us help you maximize the potential of outsourcing accountants by discussing which business functions are best for outsourcing from the Philippines.
US companies can benefit from outsourcing the following functions:
From corporate income tax returns to sales tax filing to internal revenue records, offshore teams can take care of your business’ federal and state-level tax requirements. Many offshore tax accountants in the Philippines are trained in US tax regulations, making them well-equipped in ensuring accuracy, even and especially when there are tight deadlines.
One of the most tedious business tasks is bookkeeping, especially the recording of daily transactions, reconciling accounts, and maintaining up-to-date ledgers. Cloud-based accounting tools like make it convenient for offshore teams to work real-time alongside your team in the US.
Payroll is yet another time-sensitive and compliance-heavy business function. By hiring an offshore payroll specialist, you can delegate the task of salary calculations, deductions, and benefits administration to a dedicated offshore payroll staff (or team, whichever your company needs).
Offshore tax accountants can also manage invoice generation, payment tracking, and collections. If you work with vendors and need someone who will handle accounts payable and accounts receivable management, offshoring is a good option.
Monthly, quarterly, and annual financial statements,as well as custom tax and financial reporting are also among the best tasks that your business can get done through offshoring. A reliable outsourced team can help you ensure reporting cycles and high data accuracy.
Offshore accounting teams can also assist with audit requirements by preparing audit schedules, collating documentation, and reconciling discrepancies. This way, you can significantly reduce the workload (and stress) among in-house teams during audit season.
A Philippine tax accounting firm can also support US businesses with tax planning, compliance risk assessments, and process improvement recommendations. This way, you go beyond the traditional tax accounting functions and start leveraging the potential of your dedicated tax accounting team for long-term growth.
Choosing a tax accounting firm to work with is ultimately about finding the right fit for your business goals — after all, it is the strength of the team that propels the business forward, and your tax accounting team is no exception.
This is why, at KDCI Outsourcing, we combine technical expertise, cost-effectiveness, and proactive support to empower your team with the best people, so you can rest assured that every financial transaction is powered by the right team.
Our outsourced tax accountants at KDCI Outsourcing seamlessly integrate with your operations, anticipate compliance challenges, and deliver actionable insights to help you make better business decisions and support ongoing business growth.
Yes, there are many options when it comes to outsourcing tax accounting, but if you’re looking for a team who gets your business and finds your business the accounting team it deserves, that’s where KDCI Outsourcing comes in.
At KDCI, we specialize in finding accountants who have the skills and experience you need, as well as the attitude and cultural fit that will allow them to easily integrate with your in-house team. Whether you’re looking to hire one full-time offshore tax accountant or looking to build a dedicated tax accounting team in the Philippines, KDCI has the right tailored outsourcing solution and engagement model for you.
KDCI has options specifically made to support your business’ day-to-day operations and overall growth in the long run.
Contact us to learn more about how you can hire offshore tax accountants or build an offshore accounting team with us!
If you are planning on increasing efficiency in your business and improving the amount of work that your company can take on, you should strongly consider using outsourcing as part of your ongoing strategy. Offshore talent is easy to find these days and the benefits that an offshore agency can bring to your business can be great and many.
A lot of businesses in the US are now leveraging the benefits of hiring offshore talent. In fact, over 300,000 jobs in the US are outsourced and 70% of companies who have tried (and are continuously using) outsourcing and offshoring note these are indeed more cost-effective options that benefit businesses in terms of day-to-day operations and overall long-term growth.
This is just the tip of the iceberg. If you still haven’t fully grasped how hiring offshore talent can support your business, this is your opportunity to explore cost-effective, time-efficient, and future-focused options specifically designed to meet the unique needs of your business.
First things first:
In essence, offshore hiring is finding talent outside of the US for roles that can be done remotely. While offshoring (also, outsourcing) is not an entirely new concept, the rise of remote work options during the COVID-19 pandemic gave way for the globalization of workforces.
Records show 44% of growth in remote work in the past 5 years; and such growth also led to positive results, namely:
With these benefits of remote work, offshoring became a rising option, but you might ask:
The short answer is YES — especially if you are looking for ways to optimize your business (be that in terms of saving operational costs, finding reliable talent, or getting a competitive advantage.
The long(er) answer, we will discuss in this article. Here are the top benefits that a business can experience by choosing offshore talent to help them with day-to-day operations.
Looking at it objectively, research shows that businesses have saved from 30% to 60% in operational costs.
This is because offshore talent generally commands a smaller wage than the average worker in your country or an experienced worker in your business. In terms of the cost of offshoring from the Philippines, wages range from $5 to $15 per hour only (as opposed to $20 to $80 hourly wages in the US). This means that you can hire an offshore worker to handle simple operations like data input or website maintenance and free up a skilled employee in your company as well as extra wages.
In many cases you can even find skilled professionals who are willing to work with your company to provide more advanced procedures like bookkeeping, CAD design and more, all at wages that are substantially less than you would normally pay and yet the quality is at par (at times even better) with those made by local talent.
Many outsourcing companies are willing to work at your hours and provide fast turnaround times. You won’t have to worry about getting your products or services months down the line. By working with an experienced outsourced team you can get access to the same quality of service and skilled professionals as you would in a local market.
Most outsourced professionals can utilize industry-leading technology to collaborate and provide timely digital deliveries that will improve the capabilities of your company.
Working with an offshore agency will give your business the option to have an account manager who will manage your team for you.
As a company, this means you just need to report what type of skilled employees you need and the services you need. An offshoring company will go to work sourcing the right people, making sure that they fit your requirements and that they can deliver on time. This can free up management resources to add to your level of production at home.
Imagine how much time it can save the business once you have delegated the task of finding, hiring, onboarding, and managing your staff. Offshoring talent takes all these tedious tasks off your plate so you (and your team) can focus on more value-adding tasks that need to be done.
Utilizing offshore talent can help you to expand your customer service departments, you can also offer better levels of administration and clerical work. Outsourcing will also give your business the ability to operate even at the wee hours of the night since your outsourced team is based in a location with a different time zone. With an outsourced team, you can continue operations even while your local employees are enjoying their off hours.
With offshore talent who can cover the hours that your in-house team can’t, you get round-the-clock business activity. This way, it’s not just about cost-savings — it’s also about doing and being more, with less.
In addition to the above point, hiring team members offshore help you strategically redirect internal resources including, but not limited to, capital, talent, and time towards core business functions and innovations.
When you outsource functions like finance and accounting, your tenured team members can focus on innovation. This is a win-win in that:
This way, no stone is left unturned. Instead of spreading teams thin on operational tasks, your business can focus on strategic initiatives that drive long-term value.
Fact: markets are constantly evolving. Your customers’ needs shift as new developments are introduced worldwide, and so should the way your business operates. With constant changes surrounding business, it is important to be at par with industry standards and make sure that your team has the skills needed to keep up.
How can offshore talent help you do that?
With a more diverse pool of talent options, your business will be able to tap into global talent with specialized skills. This way, you find the exact person that your business needs. From AI-trained experts to finance & accounting staff who are well-versed with tools and compliance, hiring offshore opens doors to finding staff that have the exact skill sets (i.e. offshore developers, remote teams for HR, tech talents, finance professionals, and more) that your business needs.
Another key benefit of outsourcing talent comes from the flexible and scalable offshoring solutions offered by reliable outsourcing partners like KDCI Outsourcing.
With flexible options, you can expand or contract your workforce according to your business needs. Whether you need full-time talent, part-time staff, or project-based employees, there are various offshoring solutions that let you choose the exact option that you need, when you need them. If you want to know which options are available to you at KDCI Outsourcing, feel free to reach out and ask us about our offshoring and outsourcing services.
In volatile markets and rapid growth phases, it’s important for businesses like yours to ensure that your team matches the exact pace that your business has. This is one of the ways outsourcing benefits businesses.
The thing is, your next team member is already out there. It’s just a matter of finding them, and interviewing them, and doing background checks, and reviewing assessments, and onboarding them, and training them.
With offshore staffing, it is less so. Offshoring companies in the Philippines typically have streamlined recruitment and onboarding systems, reducing the time-to-productivity of new hires. With a dependable team who takes care of all the aspects of hiring and onboarding for you, all the admin load of hiring is removed, and you can just meet the offshore talent, carefully vetted and selected to match your business needs.
If you are looking into global expansion, hiring an offshore employee is a rather practical way to take the first step (or the next one, if you’re already in the process of doing so). Offshoring enables companies to establish presence in a new region without the business costs of building new infrastructure abroad.
With an outsourced team, you can test new markets, serve international clients, and localize clients more quickly and cost-effectively. Beyond finding your next team members, checking out offshoring options may be yet another way to find your next customers.
Finally, offshoring and outsourcing solutions are for smart businesses that want and NEED to stay ahead. All these benefits combined can reduce operational costs, improve service delivery, and accelerate innovation — which would definitely give your company a competitive edge, that gives you maximum ROI for hiring offshore talent.
In saturated industries, these advantages often translate to better pricing, faster turnaround and service delivery, and subsequently, customer loyalty.
Now that we have covered all the top benefits of hiring offshore talent, let’s talk about how you can maximize them by identifying which tasks or functions are best outsourced for peak efficiency.
In theory, you can outsource talent for any task that can be done remotely. However, there are a number of business functions and systems that are best for offshoring and outsourcing, so we’ll cover them here:
One of the most commonly outsourced business functions is customer service or customer support, and for good reason. The benefits of offshoring talent for customer support include capabilities for 24/7 service, cost-effective labor, and even the strong communication skills of offshore talent from the Philippines.
Outsourcing staff for chat support, email support, technical support, or even cold-calling and sales are among the best ways of leveraging the benefits of outsourcing for your business.
There is also a strong offshore talent pool for business accounting and finance functions. From routine tasks like bookkeeping to the use of standardized tools like Quickbooks and Xero, outsourcing accountants and finance professionals help you delegate tasks to capable offshore talent.
If you’re looking for Bookkeepers, Accountants, Payroll Specialists, or Financial Specialists, there is a large pool of offshore talent just waiting for you to find them.
Thanks to digital innovations, tasks like recruitment, payroll, onboarding, and payroll can now be handled remotely. This gives you another option for hiring HR Assistants, Recruiters, and Payroll Coordinators.
By delegating Human Resource (HR) functions to offshore staff, you’ll be able to build this core business team in a more cost-efficient way. It’s the same scope and quality of work — just done remotely, and with far more operational cost savings.
Admin tasks usually hold up pipelines and spread teams thin due to their tedious and repetitive nature. Given that these are necessary functions to support the ongoing operations and long-term growth of business, it’s crucial to find ways to complete such functions in the most practical ways possible.
Tasks like scheduling, data entry, and email management are easily handled offshore. So, for your administrative support needs, you can outsource talent from the Philippines and hire Executive Assistants, Virtual Assistants, and Data Entry Specialists through your trusted offshore partner company.
Lastly, in a digital age where your customers are always looking online before choosing businesses to engage with, a strong digital marketing becomes a must. Can you outsource your marketing and content marketing teams? Of course! It’s actually a smart move to do so.
Creative marketing talent offshore can produce high-quality content at scale and lower costs. Finding your next SEO Specialist, Social Media Manager, or Graphic Designer offshore is a great way of maximizing the benefits of outsourcing.
In today’s fast-paced business landscape, companies are under pressure to innovate faster, operate leaner, and deliver more value — without compromising quality.
From software development to customer support, offshore teams bring specialized skills, fresh perspectives, and the flexibility to scale quickly. But tapping into this global workforce isn’t just about hiring abroad, it’s about finding the right partners in the right places.
Today, there are many ways to find offshore talent, including:
Arguably, the last option is the most ideal one if you are looking to maximize all the benefits that we have listed above.
So, if you’re ready to leverage hiring offshore talent as a competitive advantage, look no further than KDCI, where we customize offshore solutions to meet your unique business requirements and offer a wide range of outsourcing services catering to all industries and specializations.
With many freelancers and job candidates to choose from, finding the right offshore talent who fits your requirements takes a lot of time and resources.
At KDCI, we specialize in finding people who have the skills and experience you need, as well as the attitude and cultural fit that will allow them to easily integrate with your in-house team. Whether you're looking to hire one full-time offshore talent or looking to build an offshore team, KDCI has the right tailored outsourcing solution and engagement model for you.
From outsourced customer teams to offshored HR departments, KDCI has options specifically made to support your business’ day-to-day operation and overall growth in the long run.
Contact us to learn more about how you can hire offshore talent or build an offshore team with us!
Creating businesses is in a boom in this generation, whether start-up technology companies, food businesses, content creators, name it. Whatever industry you want to focus your endeavors in, one thing that’s constant is the need for businesses to invest in their communications and marketing.
And what usually do businesses use in communications? A logo.
Yes, your business’ logo matters more than you think.
Just think of the brands that are quite popular today. The social media platforms you use, the drinks you purchase, the clothes you wear, and the technology you utilize everyday — they have all invested in their brand logos.
But, why exactly? What’s in a logo design?
In the business of communications, image is king. There is a lot of power for even a singular piece of graphic design to hold, the goal being to create something to carry a responsibility of individuality and communication.
Customers make a judgment within the first 7 seconds of meeting your brand (be it virtually or otherwise) and a stellar logo definitely plays a huge role in that initial impression. Let us further illustrate this point with some numerical data from recent research:
Simply put, creating a good logo design is a long-term investment that will benefit your brand today and long into the future.
A designer’s job is really simple. Doing something outrageous or something minimalist will make you stand out for sure. But there’s much more to consider before you get a designer working on your brand’s logo.
For a logo to function effectively, it has to make a strong and right statement. To achieve that, a clear understanding of your brand’s value, goals, mission, and vision is a must. Once you have a good grasp and establish your brand’s attributes, use them as communication goals for your logo, equally reflecting your target audience.
Once you’ve taken the time to understand what you need your logo to say, it’s time to start designing. You can evaluate your designs with key design principles in mind.
That’s right. The first step is not the sketch or the logo concept. It’s knowing your brand. Before you even come up with a logo idea, it’s important to establish what this logo is supposed to represent. It’s the virtual ID of your brand, and it’s important to make sure that it truly captures who you are.
For example, a law firm might opt for clean, traditional design aspects to convey trust; while a tech startup has the option to go for a sleek, minimalist professional logo design that highlights innovation. This first tip is non-negotiable as it helps ensure that your logo is aligned with your audience’s expectations of your brand.
The best logos give the viewer an immediate and clear sense of “you.” In general, less is more and simplicity is simply just the best. This is why the bitten Apple is tagged as the most memorable logo. The same principle applies to Nike’s simple swoosh. Both are easy to recognize, easy to reproduce, and rather timeless.
So, when designing your logo, less is more. Simple effects, patterns, and typography will do the job. A clear, uncomplicated design will work across all media platforms (be it your website, social media, or physical marketing collateral) and stand the test of time.
A logo should be easily remembered after just a glance. That’s typically all your logo is going to get from most people. A logo that’s complex or is overly stylized will be difficult for the viewer to understand and can be easily dismissed.
The mark of a successful logo is one that is immediately associated with your brand and vice versa. That’s why it has to be unique and reflective of the true essence of your business.
Don’t settle for a similar logo as with your competitors. You can search for logos in the same industry and look for patterns, but avoid mimicking them. For example, you can follow business color psychology basics and use the same colors that businesses in your industry are using, to wit:
But that is where the similarities should end. You want a brand logo that is uniquely yours, because fresh designs make sense and communicate what companies want them to. But if you do the same, you lose all the hope of getting noticed.
Just to be clear, modern is different from trendy.
A trend is something that’s hot today, but may not be sooner or later. Modern is less stylized and more restrained. It captures relevant characteristics of the times without losing itself. It should be modern in that it should be contemporary but not so complicated with trendy components. Over time, tweaking your logo to a more modern approach would be easier.
By integrating both modern logo trends and tried-and-tested design principles, it becomes easier to ensure that your iconic logo will connect with your audience today (and when your business continues to grow in the future).
The best logos are designed using principles of proportion and symmetry. Be sure your logo utilizes proportion values as well as symmetry to create a pleasing, balanced aesthetic quality.
One of the best ways to take the proportionality angle up a notch is to use negative spaces cleverly. The unused areas around or within the logo can add depth, meaning, and memorability. A classic example of this is the hidden arrow between the “E” and the “x” in the FedEx logo, which is meant to symbolize speed and precision.
Your logos graphic and typeface should work together and enhance one another. Even if you determine times these two elements can be used separately, they should still remain complementary.
Choose a color palette and typography elements that complement each other, making the logo an entire piece that makes an impact as a whole. Additional tip: to make sure that design works, limiting the palette to 3 colors and using legible, classy fonts are the best ways to go.
Your logo should look just as good on a business card as it would on a billboard. Neither should look too pixelated nor too cluttered. Most brands use vector-based designs so the logos can be scaled without losing their original quality.
How would you know that the design is scalable? Try shrinking the design to the size of a social media profile picture, then adjusting it to the size of a large poster, and so on… If in any of these steps, the loge loses clarity or detail, then it needs refinement.
While we’re at it, let’s also discuss design versatility.
Your logo will be used in a number of ways and in multiple contexts: on your web design, t-shirts, caps, pens, keychains, banners, black or white backgrounds. Your logo has to maintain its integrity and serve its purpose no matter what the use.
Whether you’re launching a new company or a need for a symbolic logo to represent your brand, a strong logo design is essential. A logo can never represent everything a company is, but a good one will say something distinct that your target will naturally respond to .
Even if you already love the design of your logo, it’s still the audience’s perception that matters the most at the end of the day. So, before publicizing the logo, share the concept with your stakeholders, team members, or even to customers.
Gather constructive feedback, but don’t take the criticism personally. Iteration is part of any design logo process. In fact, the most famous logos have also undergone multiple tweaks over the years.
Designing your business’ logo can be overwhelming, especially since the stakes are high. Many US companies turn to outsourced graphic design teams in the Philippines for quality, cost efficiency, and access to diverse creative talent.
A good logo maker or designer will be able to understand all of these elements and create a logo that would work in all situations. They will also take into consideration any other branding elements that are part of your brand and create a logo that complements them. With the right talent and people, an effective logo can certainly be accomplished.
You can follow these 9 logo design tips to make sure that your logo design stands out or you can opt to pick only the 10th and work with someone who can help you realize your logo vision. When you hire an offshore designer, you also get the following benefits as you start the design process:
Work with seasoned designers from top graphic design firms in the Philippines who have created logo designs for various businesses across all industries and benefit from their experience and expertise.
It has long been established that the cost of outsourcing is way less than that of hiring in-house teams, and the same applies to building offshore design teams who can work on your brand’s logo (and more!)
When working with an outsourcing solution provider, you can easily expand or contract your design team, depending on your business needs.
Offshore teams can bring unique creative ideas influenced by global design trends. This way, you can ensure that your logo is both modern and at par with global standards.
Philippine outsourcing companies and creative agencies like KDCI Outsourcing specialize in empowering your business with dedicated offshore design teams that understand both the creative and strategic aspects of branding. By partnering with the right team, you can ensure that your logo (and all other designed collateral moving forward) are aligned with your long-term brand goals.
A business logo is the visual representation of your brand’s identity — and to have the right logo, it’s important to work with the right people.
At KDCI, we specialize in finding graphic design teams who have the skills and experience you need, as well as the attitude and cultural fit that will allow them to easily integrate with your in-house team.
Whether you're looking to hire one logo designer, a full-time graphic designer, or looking to build an offshore dedicated design team, KDCI has the right tailored outsourcing solution and engagement model for you.
Contact us to learn more about how you can hire offshore graphic design talent or build an offshore design team with us!
Human resources (HR) departments are fighting in a war-torn landscape mired by labor shortage, burnout, poor retention, and low employee engagement. With AI and automation in the mix, adapting to new technologies can feel like traversing an uncharted territory. Not to mention that changes in compliance and regulations add a layer of complexity to data collection and storage.
So, what’s the solution? Most probably, you’re thinking of recruitment process outsourcing (RPO). But here’s an alternative: HR shared services. Let’s find out HR shared services’ meaning and explore what this strategy brings to the table.
HR shared services is defined as the centralization of an organization’s HR administrative and operational functions, from recruitment to payroll processing. By consolidating all tasks in a single hub, HR departments can work efficiently, standardize processes, and ensure consistent service delivery.
Think of it as a huge HR department — but without all the separate teams for each function, or a dedicated HR team for each branch. This model is also powered by cutting-edge human capital management (HCM) and AI technologies, enabling the smooth delivery and optimization of workflow across a company and its branches while increasing cost savings.
Oftentimes, the HR shared services model is divided into tiers, just like the customer service trend of tiered customer support. Let’s find out what each tier does:
Don’t make the mistake of mixing up shared services’ meaning with outsourcing. While both models involve non-core functions and improve operational efficiency, there is a clear difference between HR shared services vs. outsourcing.
HR shared services (and shared services in general) centralize functions into a cohesive hub to standardize processes and enhance the quality of service. Apart from HR, there are also shared services in finance, IT, marketing, procurement, and many more. However, these departments can be outsourced, as well.
Outsourcing, on the other hand, involves hiring a service provider to perform non-core tasks, cut costs, and work with outsourced experts. Onshoring, nearshoring, offshoring, and hybrid outsourcing are the common types of outsourcing.
Understanding the differences between HR shared services and outsourcing can help you decide which model is most suitable for your business.
Shared services in HR unify day-to-day HR operations into a centralized system. Below are functions commonly performed in HR shared services centers.
Talent acquisition is an HR function in which talent acquisition specialists identify and attract qualified candidates for an open position. These professionals select applicants based on their credentials, experience, and cultural fit. They are also responsible for maintaining employee retention.
Furthermore, talent acquisition focuses more on the long-term aspects of hiring, such as:
While talent acquisition is often part of HR, some companies create a dedicated talent acquisition department.
Onboarding refers to acquainting new employees with a company’s culture, expectations, processes, and policies. During this process, accounts, tools, and equipment are set up, and all the necessary paperwork — such as contracts — is also prepared and signed.
A successful onboarding process helps new hires prepare for their role, establish a routine, and form professional relationships with peers.
Professional development is a process in which employees undertake further education to acquire new or hone existing skills. It is also used to keep the workforce abreast of new tools and emerging industry trends. Professional development furthers employees’ careers, unlocking their potential for promotion and other growth opportunities.
Common examples of professional development include workshops, training programs, certifications, conferences, and the like. Standardizing career development ensures consistent delivery of learning opportunities for all employees.
Employee data management is defined as the collection and storage of employee data for various HR purposes. Data includes not just an employee’s basic and personal information, but also relevant employment information, such as benefits, attendance logs, and tenure.
With this data, HR departments can make informed, data-driven decisions to improve performance and retention. Proper employee data management ensures optimized data collection and analysis as well as compliance with data privacy and security regulations.
Benefits administration is a process of offering and managing employees’ benefits, from PTOs to life insurance. Benefits administrators orient employees on the company’s benefits, so they know how to maximize their benefits during their tenure. Administrators also conduct surveys to understand employees’ needs, enabling effective, people-centric benefits administration.
A great benefits administration process involves using benefits administration tools to maintain efficiency and ensure effective benefits enrollment and tracking.
Payroll focuses on the processing and distribution of employees’ salaries for a given payroll cycle. This function involves calculating taxes, incentives, benefits, and other relevant costs. Handled by the finance or HR department, payroll employees ensure accurate calculation and regulatory compliance to avoid errors and penalties.
Compliance is the most important function of an HR department. HR compliance staff maintain order in the workplace through policy enforcement, safeguard employees from abuse or discrimination, and protect the organization from lawsuits. They also perform compliance audits to assess existing policies and identify and address compliance issues.
However, one must remember that HR compliance involves the collective efforts of the whole organization, not just executives and HR leaders.
An HR shared service model is a game-changer for HR departments and organizations. The benefits below give a sneak peek into the potential impacts of integrating an HR shared services center into your organization.
Efficiency is the main appeal of an HR shared services model, with technology and digitization as its backbone. By deploying a dedicated platform for performing HR tasks or automating routine processes, employees across all departments can enjoy higher productivity levels and service quality.
Standardization and efficiency work hand in hand. Deloitte, cited in Applaud, found that shared services in HR improved process efficiency and standardization in almost 80% of companies.
Standardizing processes across all organizations and locations creates a more uniform approach that eliminates bottlenecks, avoids errors and duplications, and minimizes compliance issues. Enhanced Reliability of HR Services
An HR shared service center does wonders for the quality of HR services, which ties up to the first two benefits. HR platforms and AI agents, for example, empower employees for self-service by giving them the autonomy to perform HR tasks and ask basic questions without relying on HR staff.
As a result, HR employees can pool their expertise on high-value tasks that support business goals. Because all HR processes are less fragmented, employees — including new hires — have a clearer picture of how their HR department works, ultimately making it more reliable and accessible.
Let’s say your company has offices in multiple locations. Each office has its own dedicated HR department with its own practices. From a cost perspective, this entails additional expenses on overhead and manpower. It’s inefficient and fragmented, too.
Like RPO, an HR shared service model can reduce expenses. In the same Deloitte study, most companies (88%) reported a reduction in expenses. After all, the cost of hiring employees alone averages $4,683 USD, with executives costing as high as $28,329 USD!
By centralizing HR functions and leveraging HR software solutions, establishing independent HR departments and hiring additional staff is no longer necessary, as all HR practices and processes are already standardized across your company and its offices. This translates to reduced expenses, increased efficiency, and better HR experience for all.
There may be overlaps and differences in compliance laws, regulations, and HR practices between countries. Frankly, this is tricky to navigate. However, a shared services model can be of great help. With this strategy, companies can centralize functions in all their locations while tailoring to specific country needs and complying with local and international regulations.
If you made it this far, HR shared services have probably piqued your interest. We rounded up a list of best practices for shared services in HR.
Transitioning to a shared services model brings change. Do your research on its potential disadvantages and challenges, which include:
We also recommend observing your HR department. Here are a couple of guide questions:
Additionally, interviewing HR staff and other employees is a good way to get grounded feedback on your current HR business functions. Below are sample interview questions:
While educating your employees about the HR shared service center model, it’s also important to listen and respect the concerns of HR professionals regarding this strategy. Aligning everyone in the organization can help ensure a smoother implementation of HR shared services.
Employees are the “customers” of HR shared services. Including employees in the design process ensures that all solutions meet their expectations and needs, creating a healthy feedback loop between staff.
Training employees on AI and automations equips them with the knowledge of how these technologies work, helping them become tech-savvy individuals with a knack for innovation.
The right technology can elevate your HR department. Common examples include:
Make sure all technologies address your HR needs and enhance employee experience. Software solutions should be user-friendly and come packed with all the needed features to perform the job.
AI tools should be trained on bias-free data and trained thoroughly, so they’re sophisticated enough to handle inquiries of varying complexities, which equates to higher HR service quality.
You can’t measure the success of your HR shared services center model without performance metrics, which include employee satisfaction, employee retention, resolution times, and many more. By measuring these metrics, your organization can gauge whether the HR shared services are performing as expected.
Even if it’s performing well, don’t just stop there and settle. Shared services in HR promote operational excellence, hence there’s always room for continuous improvement. Use data analytics in conjunction with employee feedback to make informed decisions and implement changes as needed.
While HR shared services are a great alternative to outsourcing, there’s no right or wrong approach. Depending on your goals and needs, you can even combine shared services and outsourcing to reap the benefits of both models.
If you have already rolled out HR shared services in your organization, but still want to utilize outsourcing, consider working with KDCI Outsourcing.
We are the best BPO company offering tailored offshore staffing solutions for human resources and other industries. With our thorough vetting process, we only hire the best employees with the qualifications, character, and work ethic you’re looking for.
Send a proposal or inquiry, and let’s help you combine the strengths of outsourcing and HR shared services.
In the modern global economy, businesses are under constant pressure to cut costs, improve performance, and scale operations quickly. One of the most strategic ways to achieve this is through external workforce strategies—but that often raises the question: outsourcing vs offshoring — which is right for your business?
Although these two models are closely related, they differ significantly in structure, execution, and long-term impact. If you're looking to improve your business operation, streamline specific tasks, or tap into specialized skills, understanding the differences, benefits, and examples of each strategy is essential.
In this blog, we’ll define both models, explore how they work, discuss the cost savings they offer, and help you make an informed choice that aligns with your company’s goals.
Outsourcing is the practice of hiring a third-party provider—either domestically or internationally—to handle specific tasks or functions that would otherwise be managed internally. The goal is to improve efficiency, lower overhead, and allow internal teams to focus on their core competencies.
Common examples of business process outsourcing (BPO) include customer service, payroll, digital marketing, IT support, and even human resource functions. These outsourced tasks are typically non-core activities but are crucial to daily operations.
For instance, a startup may outsource its accounting function to a financial firm with deep expertise, or an ecommerce business might partner with a customer support center in Southeast Asia. These services are provided by professionals with specialized skills, enabling businesses to access high-quality support without hiring full-time staff.
KDCI offers a wide range of business process outsourcing services that allow companies to offload back-office, admin, and operational work to experienced teams in the Philippines.
Outsourcing is also highly scalable. Whether you need support for a one-time project or ongoing help with back-office tasks, it allows for flexibility without heavy investments in infrastructure.
Offshoring refers to relocating certain parts of your business operation to another country. Unlike outsourcing, offshoring often involves setting up a team or even an entire subsidiary in a foreign location. Companies that choose this model retain control over processes, systems, and workforce, but take advantage of lower labor costs and access to a global talent pool.
For example, a U.S.-based SaaS company might establish an offshore software development center in India or Eastern Europe. While the development work is done abroad, the team remains fully integrated into the company's product and engineering departments.
KDCI supports offshoring through its offshore staffing services, helping U.S. and global businesses build remote teams that are fully aligned with their goals, culture, and internal workflows.
Offshoring isn’t just about tech. Manufacturers, customer service teams, and administrative support functions are commonly offshored as well—particularly when companies are aiming for round-the-clock productivity and cost saving benefits.
In recent years, offshore outsourcing has become increasingly popular—blending the two models. In this setup, businesses contract work to third-party vendors located overseas, combining the flexibility of outsourcing with the cost savings of offshoring.
Though both models are used to enhance efficiency and reduce operational costs, the differences between outsourcing vs offshoring are significant and can affect how you scale, manage, and grow your teams.
Outsourcing focuses on delegating specific tasks or entire functions to an external company. The service provider manages the workflow, staffing, and output. Your business sets goals and oversees performance through contracts and KPIs, but you don’t directly manage the external team.
Offshoring, in contrast, involves building your own team in a different geographic location. You're responsible for hiring, training, and managing the team—just as you would with domestic staff—but you benefit from global wage differentials and a broader talent pool.
If your goal is cost savings and rapid scalability with minimal operational complexity, outsourcing may be more appropriate. If you’re looking to establish long-term control and integration while optimizing labor costs, offshoring could be the better route.
Outsourcing brings a wide range of benefits for businesses of all sizes. Here are the top reasons companies choose this model:
The most immediate and measurable cost saving benefit of outsourcing comes from lower labor cost. Businesses avoid the overhead of salaries, benefits, office space, equipment, and training.
Outsourcing gives you instant access to professionals with specialized skills. Whether it’s a digital marketing strategist, IT technician, or HR expert, outsourcing eliminates the learning curve and accelerates execution.
KDCI provides expert digital marketing outsourcing and creative graphic design services tailored to help businesses grow their online presence, build brand identity, and engage customers across digital channels.
By outsourcing time-consuming or non-core tasks, your internal teams can focus on high-priority projects and strategic planning—boosting overall productivity and performance.
Whether you're launching a new product or preparing for seasonal demand, outsourcing enables you to scale resources up or down based on real-time needs, without long-term commitments.
Many outsourcing providers offer industry-specific expertise, including compliance with data security, financial regulations, and local labor laws—helping you minimize risk.
Offshoring is ideal for businesses ready to invest in sustainable, long-term growth. Here’s why the offshoring business model is so effective:
By relocating operations to countries with lower labor cost, companies can significantly reduce overall expenses—often by as much as 40–60%—without sacrificing quality.
With offshore outsourcing or internal offshore teams, your business can operate across multiple time zones. This means faster turnaround times, 24/7 support, and improved responsiveness.
KDCI supports round-the-clock customer support outsourcing through dedicated voice, email, and live chat teams operating in shifts that align with your business hours.
Countries like the Philippines are known for producing highly educated, English-speaking professionals in tech, customer service, and finance. Offshoring gives you access to this specialized skill pool at a fraction of the cost.
Unlike outsourcing, offshoring gives you direct control over the day-to-day management of your overseas team. These workers are your employees—not contractors—allowing for better alignment with company values and culture.
Offshoring often serves as a bridge to enter new international markets. Having a local presence can lower shipping times, reduce tariffs, and build regional trust and brand recognition.
A California-based ecommerce brand outsources its business process functions—such as order fulfillment, returns processing, and live chat support—to a third-party provider in the Philippines. The provider manages staffing and performance metrics while delivering seamless support under the retailer’s brand.
KDCI supports brands like these through end-to-end ecommerce outsourcing that includes product listing, order management, and post-sale service.
A growing fintech firm in Canada sets up an offshore software development team in Poland. These developers are hired directly, work full-time on the company’s core product, and are managed by the CTO. The team functions as an extension of the headquarters, helping the company ship features faster and meet rising customer demands—all while reducing expenses by nearly half.
Deciding between outsourcing vs offshoring depends on several key factors:
In some cases, companies opt for a hybrid approach, using offshore outsourcing for transactional work and offshoring for building strategic internal teams.
The debate between offshoring vs outsourcing isn’t just about terminology—it’s about choosing a strategy that fits your vision for growth. Both models offer exceptional opportunities for cost savings, access to specialized skills, and operational agility.
Outsourcing works best when you want to move quickly, scale flexibly, and delegate specific tasks to experienced vendors.
Offshoring is ideal when you want full control over a distributed team, plan to expand internationally, or need consistent talent to support core business operations over the long term.
No matter which path you choose, success lies in planning, communication, and alignment. With the right partners and processes in place, both outsourcing and offshoring can empower your business to grow smarter, faster, and more efficiently than ever before—helping you manage Q4 chaos with smarter business operations while building a foundation for sustained, long-term growth.
Whether you're exploring outsourcing to streamline specific tasks or offshoring to scale operations globally, KDCI has the expertise, infrastructure, and talent to help you succeed. Our proven solutions—from customer support and ecommerce services to creative design and digital marketing—are built to drive growth, improve efficiency, and reduce operational costs. Let’s work together to create a custom outsourcing or offshoring strategy that supports your unique business objectives and sets you up for long-term success.
Contact KDCI today and start scaling smarter.
Back-office services involve hiring a third party to manage the back-office part of a company. This means running the vital internal operations that keep the business operating smoothly. The back office refers to the behind-the-scenes work a company does, mainly involving functions such as administrative support, finance and accounting, data processing, and HR services. The goal of back-office services is to provide support for a business’s everyday functions and act as a backbone for the company, improving overall operational efficiency and reducing operational costs.
In business process outsourcing (BPO), back-office work pertains to all activities that do not directly involve interactions with clients like customer service and sales. These back office functions may not generate revenue directly, but they are essential in supporting the areas that do. Such BPO services include HR (Human Resourcing), Accounting & Finance, Data Management, and IT services.
By partnering with a reliable BPO company or outsourcing firm, businesses can take advantage of specialized outsourcing solutions that streamline office operations and boost productivity, ultimately enhancing the customer experience.
The Philippines is one of the top destinations in the outsourcing industry, attracting many companies to engage in office outsourcing for several reasons such as lower labor costs, access to a skilled workforce, and easy communication and collaboration.
The cost of labor and living in the Philippines is up to 70% lower than that of many Western countries. By outsourcing back office functions to a Philippine BPO company, businesses gain significant benefits from cost efficiency, which can play a vital role in reducing operational costs and supporting growth.
When outsourcing back-office functions, your provider handles additional office operations that would otherwise be managed in-house — for instance, employee benefits, office space, and other related resources and tools.
Beyond cost savings, there are over 1.3 million Filipinos employed in more than 1,000 BPO companies, indicating a large pool of skilled professionals with expertise in IT support, data entry, accounting, and finance. This makes them highly qualified to support your business processes and ensure operational efficiency.
Filipinos are also proficient in English, being one of the top English-speaking countries in the world. This makes for smooth communication and collaboration when supporting an organization’s operations.
Outsourcing back-office services offers more than just cost savings. Partnering with a skilled outsourcing firm can help you:
With hundreds of BPO companies that offer back-office services in the Philippines, finding the right outsourcing service provider can be challenging. Here are 10 top companies known for delivering excellent BPO services and back-office support:
KDCI Outsourcing, established in 2011, is a global BPO company specializing in services such as customer service, creative design, and back-office support. With over 20 years of industry experience, KDCI offers tailored outsourcing solutions for companies of varying sizes and industries. They provide access to a large pool of skilled professionals to build dedicated back-office teams that align with client needs and culture, ensuring smooth collaboration and operational efficiency.
Founded in 1996, Teleperformance is a global digital services leader in the outsourcing industry. Known for BPO services like back-office processing, accounting, finance, HR, and more, Teleperformance supports organizations worldwide with solutions that optimize business processes and reduce operational costs.
Established in 2013, Booth & Partners is a Philippines-based outsourcing firm providing outsourcing services including HR management and back-office processing. They excel in delivering flexible workspace solutions and smooth integration into client teams.
Unity Communications offers a variety of BPO services, including data entry, IT helpdesk, and accounting. Their collaborative culture makes them a preferred partner for companies seeking operational efficiency in their business processes.
Since 2004, iQor has been providing BPO solutions such as technology support, data entry, and other back office functions. They leverage CX technology to improve both internal operations and the customer experience.
Pointwest, founded in 2003, specializes in IT services, software development, and back-office operations. They help clients optimize business processes through digital transformation and skilled support teams.
TOA Global focuses on back-office processing for accounting firms. With experienced professionals, they offer specialized outsourcing services in accounting and bookkeeping to improve operational efficiency.
Support Ninja, founded in 2015, is known for customized outsourcing services in finance, accounting, and data processing. They build dedicated teams to enhance productivity and streamline business processes.
KMC Solutions provides office outsourcing services including HR and payroll. They support clients worldwide with consistent service quality and continuous collaboration.
SourceFit delivers custom offshore staffing and back-office support in IT, finance, and accounting. Their tailored approach helps clients achieve greater efficiency in their business processes while reducing operational costs.
With so many choices in the outsourcing industry, selecting the right partner for your operational needs can feel overwhelming.
KDCI Outsourcing is here to help you build the perfect back-office team that acts as an extension of your company. We understand the importance of strong back office functions in enhancing operational efficiency and reducing operational costs. Our team of skilled professionals can handle finance & accounting, data processing, insurance back-office services, and more — so you can focus on growth.
Learn more about our outsourcing solutions. Contact us today!
What started out as a few agents, has grown into an invaluable partnership with KDCI. With more than 40 team members, we are lucky enough to count as part of our Cedar Family. Thank you so much KDCI for making our Company better!
We have found KDCI to be a consistently reliable partner, always willing to ‘go the extra mile’ to ensure our valued customers receive the best possible service.
KDCI plays a very important role in our catalog and content operations. They are responsive, kind, and always willing to help us as much as possible. We have been working together for more than 4 years, and we hope our partnership will be even more fruitful in the future.
Having collaborated with KDCI.co for our creative needs, I can confidently attest to their unparalleled expertise and dedication. Their team consistently delivered innovative solutions that not only met, but often exceeded our expectations. Their professionalism and attention to detail are commendable.
KDCI were able to grow with us with any future requirements. We have a lot to do when it comes to our business, and everytime we come back, they're right there with us and able to deliver.
KDCI's team has been instrumental in helping us not only modernize our platforms but also increase the experiences for the customer, and to deliver on the tsunami of content that came their way.
We had a lot of difficulty finding qualified talent in the United States. Honestly, I don't think we had thought about outsourcing at all as a potential option, but we were very open to it once we heard about it. We love our KDCI team. They're just like a regular part of our team, it's just that they're thousands of miles away.
It's been five years since we started working with KDCI, and it just keeps getting better and better. We've grown together and achieved a lot of shared success. Overall, they're incredibly professional yet fun to work with. We are incredibly happy to have found them.
We're so glad we partnered with KDCI to develop a unique platform that delivers personalized customer experiences without compromising functionality or security. It was an amazing experience, I won't hesitate to start another project with them again.
